How Leadership Behaviour Determines Organisational Performance
When performance begins to shift inside an organisation, many of us look at the organisation’s strategy; its capabilities or the marketplace for possible reasons for the downturn. Naturally, we do this out of convenience. These measurable reasons seem so much more tangible and structural than the behavioural factors that are most likely at play.
Yet in most leadership environments, organisational performance is shaped over time through the behaviour patterns of leaders. Ordinary behaviours rarely receive attention as they appear routine. Even though they occur in almost every interaction of a leader, particularly in response to unmet expectations, decisions that are challenged, or when there is uncertainty.
Consistency is key. When team members have clear expectations, they will be able to get in sync with each other much quicker. When team members experience varying levels of responses from their leaders based upon the specific context and/or audience that they are addressing, it creates confusion/uncertainty for them.
Accountability is an example of this principle at work. While many organisations claim to value accountability, there is significant variation in the degree to which it is applied. For example, high performers are often given greater freedom to operate while others are held accountable to a greater degree. As a result, an informal set of rules begins to emerge among team members regarding how openly to raise concerns and how confident to be when challenging a peer.
The same effects occur with recognition patterns. Results of a leader's efforts will generally be recognised; however, behaviours leading to these results are not always evident. If collaboration, discipline in making decisions, or the disclosure of risks at an early stage do not receive recognition from a leader, team members are likely to give priority to speed or individual output over all other priorities. Although the result (outcome) will still be delivered, the path to achieving this result will have influenced how expectations for future outcomes are formed.
Performance is also affected by how uncertainty is responded to within organisations. In some organisations, when uncertainty arises, there is an inquiry into why, and discussion occurs regarding the issue. In other organisations, when uncertainty arises, there is urgency to correct the situation, because uncertainty is seen as potentially resulting in less-than-desirable outcomes. While both responses intend to protect results, they lead to different behavioural cultures. Organisations where uncertainty can be openly examined will identify problems and make better decisions sooner than organisations where uncertainty is viewed as a sign of failure.
These behavioural patterns work silently yet contribute to the overall effect of the organisation. They will influence how ideas are communicated, how risk is identified, and how well leadership groups collaborate when they face a crisis.
For this reason, the improvement of organisational effectiveness may or may not be an organisational structural exercise; it is often a behavioural one. The consistent communication of expected behaviour, visibility in accountability, and the intentional act of recognising success creates the working environment that leadership wants to create.
Over time, those signals determine how performance is sustained.
Strong leadership doesn’t happen by accident. Evolve works with healthcare organisations to design leadership practices that are sustainable, practical and embedded into everyday operations. Get in touch if you want support building that foundation.